MSB Equals

question 50

Multiple Choice

MSB equals

• A) MC + the marginal external cost.
• B) MC + the marginal external benefit.
• C) MB + the marginal external cost.
• D) MB + the marginal external benefit.
• E) MB + MC.

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Definitions:

Expectancy

A belief or anticipation regarding the likelihood that a specific outcome will occur as a result of certain actions or behaviors.

Homeostasis

The process by which a living organism or cell maintains a stable internal environment despite changes in external conditions.

Propinquity

The tendency for people to form close relationships or feel a sense of attraction with others who are geographically close or frequently encountered.

Unbalance

A state of lack of equilibrium or stability, either physically, emotionally, or in terms of a system or situation.